- New World Resources (NWC) has acquired two new cobalt-copper-gold projects ahead of the demerger of its wholly-owned subsidiary Koba Resources
- Koba has entered a deal with Jervois to acquire the Black Pine project which lies within the highly prospective Idaho Copper Belt
- New World also secured 107 mining claims that have been consolidated into the Panther Creek project which hosts extensive cobalt, copper and gold anomalism
- Koba Resources is expected to list on the ASX in Q1 2022 after its proposed $8 million IPO and once this is complete, it will have a portfolio of prospective assets
- Company shares are down 3.33 per cent to trade at 7.3 cents
New World Resources’ (NWC) subsidiary, Koba Resources, has entered an agreement with Jervois Global to acquire the Black Pine project in the Idaho Cobalt Belt in the US.
The Black Pine Project is known to host high-grade cobalt, copper and gold mineralisation and has considerable exploration upside potential.
Koba will acquire Black Pine from Jervois for an upfront payment of US$50,000 (A$66,628) followed by a US$200,00 (A$266,513) payment once due diligence has been completed.
Upon Koba Resources listing on the ASX, it will pay Jervois an additional US$1.25 million (A$1.67 million) and the owned claims will be transferred to Koba.
In addition, New World secured 107 mining claims which cover an area of 2100 acres and has been consolidated into the Panther Creek cobalt-copper-gold project. Panther Creek, also located in the Idaho Copper Belt, has shown extensive cobalt, copper and gold anomalism through historical soil geochemistry data.
Both projects complement New World Resources’ other cobalt assets that are to be
transferred to Koba Resources, which is expected to be demerged from New World in the first quarter of next year.
The company officially received approval from the ASX for the demerger of Koba which is expected to comprise the in-specie distribution of 20 million Koba shares to eligible New World shareholders and the IPO and ASX Listing of Koba. Koba expects to raise $8 million through the issue of 40 million new shares at 20 cents per share.
Following the demerger of Koba and its acquisition of the Black Pine project, Koba’s wholly-owned assets will include the Colson and Goodsprings cobalt-copper projects, and the Black Pine, Panther Creek and Elkhorn Creek cobalt-copper-gold projects.
Company shares were down 3.33 per cent to trade at 7.3 cents at 2:58 pm AEDT.